Coinbase Seeks SEC Approval to Launch Single

• Coinbase has applied for SEC approval to offer single-stock perpetual futures to U.S. retail investors.
• If approved, the company would expand its perpetual futures service, which it already offers outside the U.S., to the U.S. retail market.
• Coinbase shares surged 10% on the news, but the stock remains down about 35% over the past year.

Forecast Trend Report by Period

Coinbase has started the regulatory approval process to offer single-stock perpetual futures to U.S. retail investors, in a move that would deepen the crypto exchange’s push into traditional financial markets.

Bloomberg reported on Sept. 3 that Coinbase filed paperwork with the U.S. Securities and Exchange Commission this week to launch the product. The company also plans to seek additional approvals from the U.S. Commodity Futures Trading Commission and aims to bring the contracts to the U.S. market this year.

Perpetual futures are derivatives that allow investors to bet on price moves in an underlying asset without a fixed expiration date. Traders can use leverage to take long or short positions without owning the stock directly.

Coinbase has offered single-stock perpetual futures to customers outside the U.S. since earlier this year. Approval would let the company expand the service to U.S. retail investors.

Competition is also heating up. Prediction-market platform Kalshi has secured CFTC approval for <a href="https://xpertsstudio.com/bitcoin-reclaimed-80000-after-falling-below-78000-can-it-hold/” title=”Bitcoin Reclaimed $80,000 After Falling Below $78,000. Can It Hold?”>Bitcoin perpetual futures and is seeking to launch derivatives tied to traditional assets, including stock indexes. CME Group also introduced single-stock futures in July tied to shares of more than 50 major U.S. companies.

How the regulators split oversight remains a key variable. The Blockchain Association, a crypto industry lobbying group, sent a letter to the SEC and CFTC late last month urging closer coordination between the two agencies as they develop rules for perpetual futures.

Coinbase shares surged 10% on Sept. 3 on the news, marking their biggest one-day gain since May. Even so, the stock remains down about 35% over the past year.

#Crypto Regulation
#Derivatives
BTC

Source: en.bloomingbit.io